MSVFW32.dll is either not designed to run on windows or contains error

dll is installed in Windows folder

See if we have other issues

Please download System Update Readiness Tool
SURTx64

Run it, when it completes, post log, which is temporary in location:
C:\Windows\Logs\CBS\CheckSUR.log

The log file is attached

No not dead end, patience please.
Here's the results of your SURT scan
Summary:
Seconds executed: 2287
Found 149 errors
Fixed 130 errors
CSI Unexpected Failure Total count: 8
CSI Manifest Missing Total count: 14
Fixed: CSI Manifest Missing. Total count: 14
CSI Payload File Missing Total count: 12
Fixed: CSI Payload File Missing. Total count: 9
CSI F Mark Bad Type Total count: 90
Fixed: CSI F Mark Bad Type. Total count: 90
CSI F Mark Missing Total count: 12
Fixed: CSI F Mark Missing. Total count: 12
CSI Store Directory Missing Total count: 5
Fixed: CSI Store Directory Missing. Total count: 5
CSI Missing Winning Component Key Total count: 8

You can open the CheckSUR.log with notepad, scroll down and view all the (f)s and (fix)s, an (f) without a (fix) below it is an entry that was not fixed. You'll see several AVG entries.

Please run SURT again and post CheckSUR.log to simplify the perusing. We can fix those errors as well. Appears to be AVG errors. You may have to uninstall AVG and run their AVG_clear.exe

I have an important meeting in Ann Arbor, Michigan to attend and I will be leaving my residence shortly. It's 4:30 pm here!
I will be absent for several hours. When I return, I'll take a look at my system for all occurrences of MSVFW32.DLL. Yes, there is more than one! We'll replace all of them. Last resort would be Repair Install! Here's an excellent video by Brian for you to peruse.
Repair Install to Fix Windows 7 Without Reformatting by Britec

Read my footer!

Nic

It won't let me re-run SURTx64, it gives an error msg "installer encountered an error 0x80070017, Data error (cyclic redundancy check).

10 minutes later: it's OK now, I re-downloaded the file and now it works. interesting, isn't it?

The log file is attached.

Had some health issues myself!
OK let's see logs
three manifest errors here's the missing files
CheckSUR.zip
unzip and copy and paste checkSUR folder into
C:\Windows\Temp\
run surt post CheckSUR.log
here's the issue with the .dll file, image is for locations it is in on desktop win7x64 hp

Perusing my snippet, replacing MSVFW32.dll in System32 and SysWOW
Please download
Copy .DLLs to Sys32 & SysWOW.zip
extract to desktop
drag SFCFixScript.txt onto SFCFix.exe
post log please

Yes, sorry if I get a little presumptive!
Extract files from CheckSUR zip to desktop
The copy and paste the CheckSUR folder you unzipped to
C:\Windows\Temp
rerun System Update Readiness Tool. It locates the CheckSUR files you placed in C:\Windows\Temp and installs them.
You always have to be careful to maintain trustedinstaller permissions when replacing/repairing system files. SURT and SFCFix, both do so!

The others instructions are for replacing the dll in System32 and SysWOW64 were/are

Please download
Copy .DLLs to Sys32 & SysWOW.zip
extract to desktop
drag SFCFixScript.txt onto SFCFix.exe
post log please

We're looking for CheckSUR.log to only contain AVG entries, and hopefully, we've replaced the dlls that you system is complaining about.